Assessing TotalEnergies (ENXTPA:TTE) Valuation After Recent Share Price Momentum

TotalEnergies (ENXTPA:TTE) has seen steady movement in its shares over the past month, with a 4% increase. Recent trends in the energy sector continue to shape how investors are approaching this stock.

See our latest analysis for TotalEnergies.

TotalEnergies has built steady momentum, with a 1-month share price return of 3.7% hinting at renewed investor interest. While the pace has moderated in the very short term, its 1-year total shareholder return of 6.3% shows performance staying resilient over time. This has been helped by ongoing sector trends rather than one-off news.

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With shares rising but still trading below analyst price targets, investors now face a key question: Is TotalEnergies undervalued and offering upside, or is all the future growth already reflected in the market price?

Most Popular Narrative: 8% Undervalued

The most widely followed narrative puts TotalEnergies’ fair value at $60.96. This suggests the stock trades at a discount compared to its latest close of €55.89. Investors may be overlooking critical factors that contribute to this valuation gap.

"A resilient business model that balances volatile hydrocarbon cycles with growing renewable and power generation divisions, combined with ongoing buybacks and industry-leading dividend growth, indicates that the current valuation may not fully reflect TotalEnergies' ability to deliver stable or increasing shareholder returns as secular demand for energy grows and decarbonization accelerates."

Read the complete narrative.

Curious to know what figures make this narrative tick? The bold revenue and margin projections challenge the market’s view and hint at a surprisingly optimistic outlook for future earnings. See what specific expectations anchor this value and discover the numbers that could shift sentiment.

Result: Fair Value of $60.96 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, risks such as persistent weak oil prices or setbacks in renewables growth could challenge TotalEnergies’ future earnings outlook and reduce expected upside.

Find out about the key risks to this TotalEnergies narrative.

Build Your Own TotalEnergies Narrative

If you have a different perspective or want to investigate the numbers directly, you can easily craft your own narrative in just a few minutes, and Do it your way.

A great starting point for your TotalEnergies research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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